YourBusinessWithJamesCaan2016 - 30

Some customers may be used to a
culture of late payment, so establishing
what method of payment they prefer is
crucial to resolving the matter quickly.
The more varied and creative your
collection strategies the better.

DON'T MAKE TAX
ISSUES TAXING

Starting a new business requires you to
register with HMRC. What type of taxes
you register for is dependent on how
your business is structured.
Your main responsibilities will reflect
your new classification as a sole trader
(self-employed), and you will have to a
file a self-assessment tax return, due
each year by 31 January. HMRC will
calculate the income tax you owe based
on this assessment, so keep thorough
records, and consider using an
accountant for the first year.
If you have employees being paid
more than £112 per week you will need

to keep payroll records and report your
findings to HMRC monthly. This
system (known as PAYE) can become
quite involved, and payroll software
such as QuickBooks is recommended so
you can keep track of how much you
can expect to pay.
The business-friendly VAT is a tax
you must register for when your
earnings exceed £83,000 in a 12-month
period. It may, however, be in your
interest to register voluntarily if your
customers or suppliers are also
VAT-registered businesses.
The relationship between two
VAT-registered businesses is a mutually
beneficial one, as each party may
reclaim VAT incurred on any purchases
- up to 20%. Your supplies will be
cheaper and other companies will be
more likely to buy from you, due to the
perceived discount.
If your profits exceed £5,965 annually
you will be required to pay national

JAMES SAYS
Always make sure
you know your
numbers inside
and out
insurance, though the rates fluctuate
dependent on your earnings.
Corporation tax is only relevant for
wildly successful new businesses, as
you won't need to register unless your
annual fees exceed £300,000.

The art of bookkeeping describes the
systematic recording of all financial
transactions within a business.
Most commonly used is the
dual-entry system, with two
columns, one debit and one
credit. Were you to pay a
utility bill, this would be
reflected in both columns,
with your credit decreasing
and debit increasing.
This system allows you to
readily assess the financial
health of the business, makes it
easier to spot errors or fraud
and more effectively chart
trends in profit or loss.
The data is also easily
extrapolated when
preparing financial
statements or tax returns.
If you are more focused
on growing your business
you might consider
taking on a bookkeeper
for a few hours a week, as

30

WORDS: LOREN HARWAY | PHOTOGRAPHY: SHUTTERSTOCK

KEEP THOSE BOOKS
IN ORDER



YourBusinessWithJamesCaan2016

Table of Contents for the Digital Edition of YourBusinessWithJamesCaan2016

YourBusinessWithJamesCaan2016 - 1
YourBusinessWithJamesCaan2016 - 2
YourBusinessWithJamesCaan2016 - 3
YourBusinessWithJamesCaan2016 - 4
YourBusinessWithJamesCaan2016 - 5
YourBusinessWithJamesCaan2016 - 6
YourBusinessWithJamesCaan2016 - 7
YourBusinessWithJamesCaan2016 - 8
YourBusinessWithJamesCaan2016 - 9
YourBusinessWithJamesCaan2016 - 10
YourBusinessWithJamesCaan2016 - 11
YourBusinessWithJamesCaan2016 - 12
YourBusinessWithJamesCaan2016 - 13
YourBusinessWithJamesCaan2016 - 14
YourBusinessWithJamesCaan2016 - 15
YourBusinessWithJamesCaan2016 - 16
YourBusinessWithJamesCaan2016 - 17
YourBusinessWithJamesCaan2016 - 18
YourBusinessWithJamesCaan2016 - 19
YourBusinessWithJamesCaan2016 - 20
YourBusinessWithJamesCaan2016 - 21
YourBusinessWithJamesCaan2016 - 22
YourBusinessWithJamesCaan2016 - 23
YourBusinessWithJamesCaan2016 - 24
YourBusinessWithJamesCaan2016 - 25
YourBusinessWithJamesCaan2016 - 26
YourBusinessWithJamesCaan2016 - 27
YourBusinessWithJamesCaan2016 - 28
YourBusinessWithJamesCaan2016 - 29
YourBusinessWithJamesCaan2016 - 30
YourBusinessWithJamesCaan2016 - 31
YourBusinessWithJamesCaan2016 - 32
YourBusinessWithJamesCaan2016 - 33
YourBusinessWithJamesCaan2016 - 34
YourBusinessWithJamesCaan2016 - 35
YourBusinessWithJamesCaan2016 - 36
YourBusinessWithJamesCaan2016 - 37
YourBusinessWithJamesCaan2016 - 38
YourBusinessWithJamesCaan2016 - 39
YourBusinessWithJamesCaan2016 - 40
YourBusinessWithJamesCaan2016 - 41
YourBusinessWithJamesCaan2016 - 42
YourBusinessWithJamesCaan2016 - 43
YourBusinessWithJamesCaan2016 - 44
YourBusinessWithJamesCaan2016 - 45
YourBusinessWithJamesCaan2016 - 46
YourBusinessWithJamesCaan2016 - 47
YourBusinessWithJamesCaan2016 - 48
YourBusinessWithJamesCaan2016 - 49
YourBusinessWithJamesCaan2016 - 50
YourBusinessWithJamesCaan2016 - 51
YourBusinessWithJamesCaan2016 - 52
YourBusinessWithJamesCaan2016 - 53
YourBusinessWithJamesCaan2016 - 54
YourBusinessWithJamesCaan2016 - 55
YourBusinessWithJamesCaan2016 - 56
YourBusinessWithJamesCaan2016 - 57
YourBusinessWithJamesCaan2016 - 58
YourBusinessWithJamesCaan2016 - 59
YourBusinessWithJamesCaan2016 - 60
YourBusinessWithJamesCaan2016 - 61
YourBusinessWithJamesCaan2016 - 62
YourBusinessWithJamesCaan2016 - 63
YourBusinessWithJamesCaan2016 - 64
YourBusinessWithJamesCaan2016 - 65
YourBusinessWithJamesCaan2016 - 66
YourBusinessWithJamesCaan2016 - 67
YourBusinessWithJamesCaan2016 - 68
YourBusinessWithJamesCaan2016 - 69
YourBusinessWithJamesCaan2016 - 70
YourBusinessWithJamesCaan2016 - 71
YourBusinessWithJamesCaan2016 - 72
YourBusinessWithJamesCaan2016 - 73
YourBusinessWithJamesCaan2016 - 74
YourBusinessWithJamesCaan2016 - 75
YourBusinessWithJamesCaan2016 - 76
YourBusinessWithJamesCaan2016 - 77
YourBusinessWithJamesCaan2016 - 78
YourBusinessWithJamesCaan2016 - 79
YourBusinessWithJamesCaan2016 - 80
YourBusinessWithJamesCaan2016 - 81
YourBusinessWithJamesCaan2016 - 82
YourBusinessWithJamesCaan2016 - 83
YourBusinessWithJamesCaan2016 - 84
YourBusinessWithJamesCaan2016 - 85
YourBusinessWithJamesCaan2016 - 86
YourBusinessWithJamesCaan2016 - 87
YourBusinessWithJamesCaan2016 - 88
YourBusinessWithJamesCaan2016 - 89
YourBusinessWithJamesCaan2016 - 90
YourBusinessWithJamesCaan2016 - 91
YourBusinessWithJamesCaan2016 - 92
YourBusinessWithJamesCaan2016 - 93
YourBusinessWithJamesCaan2016 - 94
YourBusinessWithJamesCaan2016 - 95
YourBusinessWithJamesCaan2016 - 96
YourBusinessWithJamesCaan2016 - 97
YourBusinessWithJamesCaan2016 - 98
YourBusinessWithJamesCaan2016 - 99
YourBusinessWithJamesCaan2016 - 100
YourBusinessWithJamesCaan2016 - 101
YourBusinessWithJamesCaan2016 - 102
YourBusinessWithJamesCaan2016 - 103
YourBusinessWithJamesCaan2016 - 104
YourBusinessWithJamesCaan2016 - 105
YourBusinessWithJamesCaan2016 - 106
YourBusinessWithJamesCaan2016 - 107
YourBusinessWithJamesCaan2016 - 108
YourBusinessWithJamesCaan2016 - 109
YourBusinessWithJamesCaan2016 - 110
YourBusinessWithJamesCaan2016 - 111
YourBusinessWithJamesCaan2016 - 112
YourBusinessWithJamesCaan2016 - 113
YourBusinessWithJamesCaan2016 - 114
YourBusinessWithJamesCaan2016 - 115
YourBusinessWithJamesCaan2016 - 116
YourBusinessWithJamesCaan2016 - 117
YourBusinessWithJamesCaan2016 - 118
YourBusinessWithJamesCaan2016 - 119
YourBusinessWithJamesCaan2016 - 120
YourBusinessWithJamesCaan2016 - 121
YourBusinessWithJamesCaan2016 - 122
YourBusinessWithJamesCaan2016 - 123
YourBusinessWithJamesCaan2016 - 124
YourBusinessWithJamesCaan2016 - 125
YourBusinessWithJamesCaan2016 - 126
YourBusinessWithJamesCaan2016 - 127
YourBusinessWithJamesCaan2016 - 128
YourBusinessWithJamesCaan2016 - 129
YourBusinessWithJamesCaan2016 - 130
YourBusinessWithJamesCaan2016 - 131
YourBusinessWithJamesCaan2016 - 132
YourBusinessWithJamesCaan2016 - 133
YourBusinessWithJamesCaan2016 - 134
YourBusinessWithJamesCaan2016 - 135
YourBusinessWithJamesCaan2016 - 136
YourBusinessWithJamesCaan2016 - 137
YourBusinessWithJamesCaan2016 - 138
YourBusinessWithJamesCaan2016 - 139
YourBusinessWithJamesCaan2016 - 140
YourBusinessWithJamesCaan2016 - 141
YourBusinessWithJamesCaan2016 - 142
YourBusinessWithJamesCaan2016 - 143
YourBusinessWithJamesCaan2016 - 144
YourBusinessWithJamesCaan2016 - 145
YourBusinessWithJamesCaan2016 - 146
YourBusinessWithJamesCaan2016 - 147
YourBusinessWithJamesCaan2016 - 148
YourBusinessWithJamesCaan2016 - 149
YourBusinessWithJamesCaan2016 - 150
YourBusinessWithJamesCaan2016 - 151
YourBusinessWithJamesCaan2016 - 152
YourBusinessWithJamesCaan2016 - 153
YourBusinessWithJamesCaan2016 - 154
YourBusinessWithJamesCaan2016 - 155
YourBusinessWithJamesCaan2016 - 156
YourBusinessWithJamesCaan2016 - 157
YourBusinessWithJamesCaan2016 - 158
YourBusinessWithJamesCaan2016 - 159
YourBusinessWithJamesCaan2016 - 160
YourBusinessWithJamesCaan2016 - 161
YourBusinessWithJamesCaan2016 - 162
YourBusinessWithJamesCaan2016 - 163
YourBusinessWithJamesCaan2016 - 164
YourBusinessWithJamesCaan2016 - 165
YourBusinessWithJamesCaan2016 - 166
YourBusinessWithJamesCaan2016 - 167
YourBusinessWithJamesCaan2016 - 168
YourBusinessWithJamesCaan2016 - 169
YourBusinessWithJamesCaan2016 - 170
YourBusinessWithJamesCaan2016 - 171
YourBusinessWithJamesCaan2016 - 172
YourBusinessWithJamesCaan2016 - 173
YourBusinessWithJamesCaan2016 - 174
YourBusinessWithJamesCaan2016 - 175
YourBusinessWithJamesCaan2016 - 176
YourBusinessWithJamesCaan2016 - 177
YourBusinessWithJamesCaan2016 - 178
YourBusinessWithJamesCaan2016 - 179
YourBusinessWithJamesCaan2016 - 180
YourBusinessWithJamesCaan2016 - 181
YourBusinessWithJamesCaan2016 - 182
YourBusinessWithJamesCaan2016 - 183
YourBusinessWithJamesCaan2016 - 184
YourBusinessWithJamesCaan2016 - 185
YourBusinessWithJamesCaan2016 - 186
YourBusinessWithJamesCaan2016 - 187
YourBusinessWithJamesCaan2016 - 188
YourBusinessWithJamesCaan2016 - 189
YourBusinessWithJamesCaan2016 - 190
YourBusinessWithJamesCaan2016 - 191
YourBusinessWithJamesCaan2016 - 192
YourBusinessWithJamesCaan2016 - 193
YourBusinessWithJamesCaan2016 - 194
YourBusinessWithJamesCaan2016 - 195
YourBusinessWithJamesCaan2016 - 196
YourBusinessWithJamesCaan2016 - 197
YourBusinessWithJamesCaan2016 - 198
YourBusinessWithJamesCaan2016 - 199
YourBusinessWithJamesCaan2016 - 200
YourBusinessWithJamesCaan2016 - 201
YourBusinessWithJamesCaan2016 - 202
YourBusinessWithJamesCaan2016 - 203
YourBusinessWithJamesCaan2016 - 204
YourBusinessWithJamesCaan2016 - 205
YourBusinessWithJamesCaan2016 - 206
YourBusinessWithJamesCaan2016 - 207
YourBusinessWithJamesCaan2016 - 208
YourBusinessWithJamesCaan2016 - 209
YourBusinessWithJamesCaan2016 - 210
YourBusinessWithJamesCaan2016 - 211
YourBusinessWithJamesCaan2016 - 212
YourBusinessWithJamesCaan2016 - 213
YourBusinessWithJamesCaan2016 - 214
YourBusinessWithJamesCaan2016 - 215
YourBusinessWithJamesCaan2016 - 216
YourBusinessWithJamesCaan2016 - 217
YourBusinessWithJamesCaan2016 - 218
YourBusinessWithJamesCaan2016 - 219
YourBusinessWithJamesCaan2016 - 220
https://europe.nxtbook.com/emp/AtHome/yourbusiness2021
https://europe.nxtbook.com/emp/AtHome/athomewithchrisjessen2018
https://europe.nxtbook.com/emp/AtHome/athomewithsarahbeenyautumn2017
https://europe.nxtbook.com/emp/AtHome/athomewithlorrainekelly2017
https://europe.nxtbook.com/emp/AtHome/athomeparentingwithJoFrost2017
http://europe.nxtbook.com/emp/AtHome/SarahBeenySpring2017
https://europe.nxtbook.com/emp/AtHome/AskTheDoctorWithDrJessenFebruary2017
https://europe.nxtbook.com/emp/AtHome/AtHomeWithTessDaly2016
https://europe.nxtbook.com/emp/Careers/YourBusinessWithJamesCaan2016
https://europe.nxtbook.com/emp/AtHome/AtHomeWithGloriaHunnifordOctober2016
https://europe.nxtbook.com/emp/AtHome/AtHomeWithSarahBeenyAutumn2016
https://europe.nxtbook.com/emp/AtHome/AtHomeWithLorraineKelly2016
https://europe.nxtbook.com/emp/AtHome/AtHomeWithJoFrostJune2016
https://europe.nxtbook.com/emp/AtHome/AtHomeWithSarahBeenySpring2016
https://europe.nxtbook.com/emp/AtHome/AtHomeWithDrChristianJessen2016
https://europe.nxtbook.com/emp/AtHome/AthomeWithTessDaly2015
http://europe.nxtbook.com/emp/AtHome/YourBusinessWithJamesCaanAutumn2015
https://europe.nxtbook.com/emp/AtHome/AthomeWithSarahBeeny2015
https://europe.nxtbook.com/emp/AtHome/AthomeWithGloriaHunniford2015
https://europe.nxtbook.com/emp/AtHome/AtHomeLorraineKelly2015
http://europe.nxtbook.com/emp/AtHome/JoFrost15
http://europe.nxtbook.com/emp/AtHome/SarahBennyMay2015
http://europe.nxtbook.com/emp/AtHome/OrthopaedicSupplementMarch2015
http://europe.nxtbook.com/emp/AtHome/DrChristianJessenFeb2015
http://europe.nxtbook.com/emp/AtHome/athomewithtessdaly
http://europe.nxtbook.com/emp/AtHome/jobsandcareers2014
http://europe.nxtbook.com/emp/AtHome/yourbusinesswithjamescaan
http://europe.nxtbook.com/emp/AtHome/athomewithsarahbeeny
http://europe.nxtbook.com/emp/AtHome/parentingjofrost
http://europe.nxtbook.com/emp/AtHome/drchristianjessen
http://europe.nxtbook.com/emp/AtHome/Athomelorrainekelly
http://europe.nxtbook.com/emp/AtHome/Athomesarahbeeny
http://europe.nxtbook.com/emp/AtHome/Cheers_2013
http://europe.nxtbook.com/emp/AtHome/At_Home_Christmas_New_year_2013
http://europe.nxtbook.com/emp/AtHome/At_Home_Exclusive_2013
http://europe.nxtbook.com/emp/AtHome/At_Home_Jo_Frost_2013
http://europe.nxtbook.com/emp/AtHome/At_Home_Carol_Vorderman_2013
http://europe.nxtbook.com/emp/AtHome/At_Home_Christian_Jessen_2013
http://europe.nxtbook.com/emp/AtHome/At_Home_Sarah_Beeny_2013
http://europe.nxtbook.com/emp/AtHome/At_Home_Lorraine_Kelly_2013
http://europe.nxtbook.com/emp/AtHome/At_Home_James_Martin_2012
http://europe.nxtbook.com/emp/AtHome/At_Home_Jo_Frost_2012
http://europe.nxtbook.com/emp/AtHome/At_Home_Dr_Chris_Steele_Sept_2012
http://europe.nxtbook.com/emp/AtHome/At_Home_Sally_Gunnell_2012
http://europe.nxtbook.com/emp/AtHome/At_Home_Sarah_Beeny_Aug_2012
http://europe.nxtbook.com/emp/AtHome/At_Home_Lorraine-Kelly_2012
http://europe.nxtbook.com/emp/AtHome/At_Home_Christian_Jessen_2012
http://europe.nxtbook.com/emp/AtHome/At_Home_James_Martin_2011
http://europe.nxtbook.com/emp/AtHome/At_Home_Sarah_beeny_winter_2011
http://europe.nxtbook.com/emp/AtHome/Lorraine_Kelly_Nov_2011
http://europe.nxtbook.com/emp/AtHome/At_Home_Marco_Pierre_White_2011
http://europe.nxtbook.com/emp/AtHome/AtHome/Jo_Frost_July_2011
http://europe.nxtbook.com/emp/AtHome/Lorraine_Kelly_June_2011/Lorraine_Kelly_June_2011
http://europe.nxtbook.com/emp/AtHome/Sarah_Beeny_May_2011
https://www.nxtbookmedia.com